A small band of GOP members representing districts in blue states wants to raise the limit on federal tax deductions for state and local taxes.

As Republican leaders draft President Donald Trump’s big bill of $4.5 trillion in tax breaks and $1.5 trillion in spending cuts, dozens of more moderate Republicans from contested congressional districts have positioned themselves at the center of the negotiating table.

President Donald Trump’s “big beautiful bill” is running into a wall in the sharply divided House Republican conference, with tensions spiking over Speaker Mike Johnson’s handling of the party’s biggest sticking point: overhauling Medicaid.